There are worries that state governors are not doing enough to alleviate the suffering of citizens, even in spite of the significant increases in revenue allotted to the various levels of government following the elimination of fuel subsidies.
This comes as Nigerians struggle with more economic hardship as a result of rising inflation and the ongoing depreciation of the Naira in the exchange rate.
This is all the while the nation has been dealing with security issues, including regular attacks by armed individuals in different parts of the nation.
The cost of products and services is rising every day and is now out of reach for the underprivileged.
Remember that on May 29, 2023, President Bola Tinubu declared the elimination of oil subsidies, which made the country’s economic position worse.
Citizens of Niger, Kano, Kogi, Ondo, Oyo, and other states have been protesting the harsh economic conditions.
The government of Nigeria has come under fire from the Catholic Bishops Conference of Nigeria (CBCN) for failing to address the country’s mounting economic suffering and insecurity, even with massive financial allocations and monthly security votes.
Apart from this, the Nigerian Bar Association (NBA) and Northern traditional rulers have expressed their displeasure over the hardships in the nation caused by the elimination of gasoline subsidies, which has led to increased transportation expenses and food inflation.
Though this does not absolve the federal government of the current economic crisis, many Nigerians are starting to wonder what the state governors are doing to lessen the suffering of the populace in their respective
On Tuesday of last week, the Federal Government took aim at the governors chosen on the Peoples Democratic Party’s platform, the PDP, and claimed that they owed Nigerians an answer regarding whether or not they had raised funding for their people.
Following a statement by the PDP governors urging the APC-led federal government to step up and handle the nation’s escalating economic hardship before it got out of control, the federal government responded.
The PDP governors had blamed Tinubu’s administration for the crisis, claiming that Nigerians’ current suffering was caused by the country’s security and economic issues.
Governor Bala Mohammed of Bauchi State, who chairs the PDP Governors Forum, stated, “The forum consequently urges the federal government to, as a matter of urgency, embark on initiatives involving all the sub-national governments to bring a lasting solution to the crises.”
“Nigerians should ask PDP governors how far and how well they have utilized the increased revenue to better the lives of Nigerians in their respective states,” stated Mohammed Idris, Minister of Information & National Orientation.
It is documented that the majority of PDP-controlled states owe laborers and retirees back pay for months’ worth of unpaid wages and pension arrears. The PDP governors have neglected to provide their retiring employees with gratuities. It is also a reality that, since the minimum wage went into effect more than four years ago, numerous PDP governors have failed to pay their employees the N30,000 minimum salary. The economic pressure that their citizens experience is further increased by all of these irregularities in their states.
We implore PDP governors to fulfill their responsibilities to laborers, retirees, and local contractors and observe the multiplier effect if they truly care about the quality of life for Nigerians and are not merely sowing discontent and animosity toward the federal government.
“It is disheartening that PDP governors lament the rising expenses of living and food, especially considering their lack of action to boost food production in their states. The states, not the federal government, own the land in Nigeria.
To help the states and the Federal Capital Territory (FCT) buy food to give to the underprivileged in their states, the federal government authorized N5 billion for each state in December 2023.
This development follows the increase in the price of food and gasoline due to the withdrawal of commodities subsidies.
The governors have benefited greatly from Tinubu’s administration’s help in addition to the large windfall in revenue allocations; they recently received N7 billion and N2 billion, respectively, for infrastructural support and palliative gasoline subsidy.
In light of this, state governors have no excuse to let their constituents down, according to Bayo Onanuga, Special Advisor to President Bola Tinubu on Information and Strategy, who also pointed out that since June 2023, all levels of government have received higher income allocations.
“The 36 states have benefited greatly from President Tinubu’s administration, which has provided them with N7 billion in infrastructure support each, on top of the N2 billion that was previously provided as a palliative fuel subsidy.
Therefore, state governors have no excuse for not doing more for their constituents rather than being fixated on the center. Many employment will be generated and people will have more money to spend if roads and other facilities are funded, according to Onanuga.
The House of Representatives has directed its Committees on Special Duties, National Planning, and Economic Development to investigate how state governments are using the extra funding from the Federal Account Allocation Committee, or FAAC, and how much of it is being spent.
This transpired subsequent to the House floor in Abuja, where Rep. Ademorin Kuye (APC-Lagos) adopted a resolution of pressing public interest.
According to Kuye, FAAC gave states and local government units extra money in the final seven months following the elimination of subsidies.
According to him, the amount of money received by states and local government areas in 2023 was N6.57 trillion, which is twice as much as they received in 2022. However, he contended that over 14.2 million people were still living in poverty despite the states receiving more money.
He went on to say that even with the increase, some states were still having trouble making ends meet, paying salaries, running government agencies efficiently, running public transportation, and getting access to clean water.
He said that the jobless rate in some states rose to over 51%.
It is concerning that certain state governors are not spearheading the required economic transition and have blatantly refused to support the federal government’s attempts to reduce poverty.
“Nigerians would not be suffering as much if the states had been taking the necessary action,” Kuye stated.
Allocation of revenue rises
The Federal Government, States, and Local Government councils received a total of N1.1 trillion in December allocation from the Federation Account Allocation Committee, or FAAC, in January.
The Office of the Accountant General of the Federation’s Bawa Mokwa, Director of Press and Public Relations, released a statement at the conclusion of the FAAC meeting for January 2024 that stated that the Federal Government received N383.872 billion, the State Governments received N396.693 billion, and the Local Government Councils received N288.928 billion of the N1,127.408 billion total distributable revenue.
The benefiting States received N57.915 billion in total as derivation money, or 13% of the mineral revenue.
From the N458.622 billion distributable Value Added Tax (VAT) revenue, the Federal Government received N68.793 billion, the State Governments received N229.311 billion, and the Local Government Councils received N160.518 billion.
The Electronic Money Transfer Levy (EMTL) of N17.855 billion was divided as follows: N2.678 billion went to the federal government, N8.928 billion to state governments, and N6.249 billion to local government councils.
N138.672 billion of the N 287.743 billion Exchange Difference earnings went to the Federal Government.
N54,226 billion was given to the Local Government Councils and N70.336 billion to the State Governments. The beneficiary States received N24.509 billion, or 13% of the mineral earnings, as derivation money.
Despite the additional funding, many state and local government employees are left to lament some governors’ failure to fully implement the N30,000 minimum salary.
According to inquiries made a number of problems continue to plague the implementation of the minimum wage in numerous states, including Abia, Rivers, Zamfara, Anambra, Imo, Kogi, and Taraba.
The National Minimum Wage Act, 2019 was ratified by former President Muhammadu Buhari more over four years ago.
The majority of workers in all states claimed that governors were only making token gestures toward enacting legislation establishing a N30,000 minimum wage and adjusting compensation accordingly.
NLC producing state-by-state wage award implementation lists
A senior Nigeria Labour Congress (NLC) official said that the union is gathering a list of state government wage award policies that have been put into effect.
He mentioned that the drill was still going on.
Speaking in an interview, a media and communication scholar at Peaceland University, Enugu, Nduka Odo, said that the increased revenue allocation to state governments should translate to more efforts on the part of the governors to alleviate current hardship that Nigerians were going through.
Odo opined that since more money was allocated to state governments, more questions should be asked of them too.
“They should shoulder more responsibilities,” he said.
He suggested that the state governments should work with other agencies to create a social security funds system in order to address the worsening economic hardship.
A media and communication scholar at Peaceland University, Enugu, Nduka Odo, said in an interview that more efforts by the governors to lessen the suffering that Nigerians are currently facing should result from the increased funding allotted to state governments.
Odo believed that since state governments were given greater funding, more inquiries ought to be made of them as well.
He declared, “They ought to take on more responsibility.”
He proposed that in order to address the deteriorating status of the economy, the state governments collaborate with other organizations to establish a social security funds system.
“More money allocated to state governments should result in greater efforts by the governors to mitigate the hardships that Nigerians are currently facing,” he declared. Is that what we’re seeing from them, though, is the true question? Are similar efforts being made?
“No, is the response. I haven’t witnessed states working together to alleviate the suffering of the most oppressed, particularly in light of the current economic crisis.
Everybody’s attention is on the federal government. Yes, as the FG is in charge of practically everything. Despite the tight grip state governments have on local government, this is the case.
But we ought to pay attention to where the money is going. There should be more inquiries made of state governments if they receive increased funding. They ought to take on additional duties.
Some nations provide social security benefits to their citizens. These funds assist those who are unable to care for themselves, such as feeding themselves.
“To establish a comparable structure in Nigeria, state governments ought to collaborate with other organizations. People are no longer on hinges as a result of recent policies. We must put an end to this anarchy before it swallows everything.